Poor Miss Utah, Marissa Powell, is facing nothing but critics regarding her answer to the income inequality question posed on Sunday night’s Miss USA pageant. Miss Powell’s beauty failed to meet brains; rather, it met her social demise, as demonstrated by the answer to the following question:

“A recent report shows that in 40 percent of American families with children, women are the primary earners yet they continue to earn less than men. What does this say about society?”  Her answer of “we need to figure out how to make education better,” marked a painful downward spiral.

If there is a moral to this story, it is to plan ahead. Although Miss Utah’s question wasn’t exactly a curveball; life can catch us off guard with the difficult of situations. Prepare for life’s unexpected challenges in South Florida with an estate plan that answers some of the following questions (don’t worry, nothing on income inequality).

If you died today, or became incapacitated, would you have the following benefits?

• asset protection
• control over your assets
• protection for your loved ones
• preclusion of unnecessary taxes
• creditor protection
• limited/no transfer taxes for following generations

If the answer to any of these is “no,” you should consider seeking an estate planning attorney to assist you in planning ahead for any of life’s Wild, & unexpected challenges. This may include, but is not limited to the following documents:

1.  Living Trust – gain control, asset protection, & preclusion of unnecessary taxes by designating a trustworthy Trustee.
2. Assignment of Property – place all of your property into the trust, and avoid costs & headache associated with probate.
3. Last Will & Testament – used to distribute property to beneficiaries (or a trust), specify last wishes, and name guardians for minor children.
4. Durable Power of Attorney – gain control by designating someone to legally act on your behalf in the event that you become incapacitated.
5. Combination Living Will & Designation of Healthcare Surrogate – gain control by making important healthcare decisions in advance.

For more information on successful Florida estate planning and asset protection techniques, please contact the South Florida law firm of Wild Felice & Partners, P.A. at 954-944-2855 or via email at mwild@wfplaw.com to schedule your free consultation.

 It’s a Wild world. Are you protected? SM

Last week the Miami Dolphins were dealt a crippling blow when they were denied public money for a stadium upgrade.  Without a major rehab of the beloved stadium, South Florida’s chances of hosting the 50th Super Bowl in 2016 are greatly reduced.

Stephen Ross, the current 95% owner of the Miami Dolphins, sought both state and local help to pay for an estimated $400 million worth of renovations to Sun Life Stadium.  The team worries that the stadium, built in 1987, may become inoperable without the proper renovations within the next 5 to 10 years.   Florida’s Legislature didn’t see it that way, and adjourned after refused to allow a vote on this bill.  Rep. Carlos Trujillo, a Republican from Miami, simply stated, “It was a bad deal for taxpayers.”

If only the former owner of the Miami Dolphins, Joe Robbie, would have completed his estate plan before he died…

Joe Robbie is Florida’s greatest example of dealing with the consequences of not having a proper estate plan or business succession plan in place.   Joseph Robbie was the owner of the Miami Dolphins and founder of the Joe Robbie Stadium.  Upon his untimely death in 1990, his estate was valued at $100 million.  9 months after his death, he owed approximately $47 million in estate taxes.  The family was forced to sell the Dolphins and the stadium at a bargain-basement price, at just a fraction of the team’s real value.  In 1994, Financial Planning magazine reported, “the year’s biggest loser in the National Football League is the Robbie family, the former owner of the Miami Dolphins.”

The real tragedy is that it all could have been avoided had Robbie implemented a simple life insurance policy to pay the estate taxes.  Instead, the family was torn apart by the stress of the forced sale.  Just imagine the worth of Robbie’s 2 prized assets in today’s market place had he done some proper estate and business succession planning?

As great a businessman as Joe Robbie was, he missed a major league opportunity to provide for his family.  A proper game plan for succession of your business and the estate taxes that may be due upon your death, will allow you to leave a lasting legacy to preserve everything you worked so hard to achieve.

For more information on successful Florida estate planning and business succession planning,  please contact the South Florida law firm of Wild Felice & Partners, P.A. at 954-944-2855 to schedule your free consultation.

It’s a Wild world. Are you protected?

Not surprisingly, cemeteries in the city of Cambridge, Massachusetts are not willing to accept the body of Boston Marathon bomber, Tamerlan Tsarnaev.  A lone uncle of Tsarnaev, along with his funeral director, plan to ask the city of Cambridge for a burial plot instead.  The uncle told reporters that Muslim tradition call for his nephew to be buried and he would like it to be in Cambridge as that was his home for the last 10 years.   On Sunday, several protesters gathered outside the funeral home holding signs and American flags chanting “USA!”  The signs contained messages urging Americans not to bury the bomber on US soil.

The dilemma is emotional and stressful for all involved.  Even when you remove the terrible events surrounding this burial, final ceremonies and funeral arrangements are taxing on any grieving family.  The best way to alleviate some of this stress at a painful time is to plan ahead.  Leaving behind written instructions for your survivors can prove a great relief both emotionally and financially.  Otherwise, Florida state law will dictate who will have the right to decide how to handle your remains.  Oftentimes this leads to disputes between your remaining family members.

Our team of successful Florida estate planning attorneys can help you memorialize your preferences including:

• burial verse cremation requests
• funeral services
• leaving pets behind
• creation of a Living Will to dictate whether you want your life artificially prolonged or if you prefer to be allowed to die naturally
• designating a Health Care Surrogate to make medical decisions on your behalf

And for those forward thinkers that already have an estate plan in place, it’s a good idea to review your plans annually to ensure they still reflect your wishes.

For more information on creating a set of written instructions upon your passing,  please contact the South Florida law firm of Wild Felice & Partners, P.A. at 954-944-2855 to schedule your free consultation.

It’s a Wild world. Are you protected?

President Barack Obama’s April 10 FY 2014 proposed budget contains a number of estate, gift, and generation-skipping transfer (GST) tax proposals.  Starting in 2018, it is proposed that the tax scenario will revert back to 2009 rules in order to trim the $1.8 trillion deficit, namely by relying on taxing the estates of high-income earners.

If passed, the following parameters will be implemented:

• Gift tax rate of 45% (as opposed to the current 40%)
• $3.5 million estate tax exemption (as opposed to the current $5 million)
• $1 million gift  tax exemption

The provision would replace the current American Taxpayer Relief Act (ATRA) that was created to permanently provide relief to the estates of hard working decedents.  The new provisions would be effective for the estates of individuals that pass away, and for transfers made, after December 31, 2017,

What does this mean for you?  This means that over time much smaller estates would be taxed at a much higher rate that may threaten the wealth you worked your whole lifetime to accrue.

With the unpredictable budget proposals affecting estates across Florida, it is crucial to schedule a routine review with a well-versed South Florida estate planning attorney.  For more information on successful Florida estate planning and effective asset protection tools, please contact the South Florida law firm of Wild Felice & Partners, P.A. at 954-944-2855 to schedule your free consultation.

Being properly informed is the best way to stay a few steps ahead of the shifting estate tax patterns.

It’s a Wild world. Are you protected?SM

The world watched in horror as the stabbing spree at a Texas Community College unfolded on Tuesday, April 9th.  At least  14 people were injured at the hands of mentally unstable student Dylan Andrew Quick, 20.  Quick used a “razor-type knife”  and began slashing students in between classes.  Amazingly, none of the injuries were fatal.

This can be attributed to the quick response of fellow students and faculty who tackled the stabbing suspect to  the ground and sat on him until Rescue Workers arrived.  Unfortunately random acts of violence have become all too common.   But proper planning helped mitigate the injuries in this attack.  Employees, staff, and students in every profession  have gotten the message that if chaos strikes, don’t sit idly by and hope for the best.  That’s too risky.  The same can be said  of unexpected circumstances in life such as sudden accidents or death.  We can’t prevent catastrophes, but we CAN have a contingency plan in place in case they do occur.

Severe injury or death of a loved one is always followed by panic, shock, and frequently chaos.  In case you become  disabled or incapacitated in Florida, who will call the shots?  Who will give informed consent regarding the type of medical  treatment you should receive?

Our team of experienced South Florida estate planning attorneys can help you prepare crucial documents that reflect your  medical and financial desires.  This includes:

1. Durable Power of Attorney – will allow the designated person(s) to manage your financial affairs should you become  mentally or physically unable to do so.
2. Designation of Health Care Surrogate – allows the designated person(s) to make medical decisions on your behalf.
3. HIPAA Release – HIPAA (the Health Insurance Portability and Accountability Act of 1996) requires health care providers  to be very careful how they release health care information. You will name one or more persons who will be able to have  access to all of your medical information.
4. Living Will – will state whether you want your life to be artificially prolonged or whether you prefer to be allowed  to die naturally.

The best way to be certain of which supplemental documents you need as part of your estate plan is to consult with your  estate planning attorney.

For more information on successful Florida estate planning and medical designation choices,  please contact the South Florida law firm of Wild Felice & Partners, P.A. at 954-944-2855 to schedule your free consultation.

It’s a Wild world. Are you protected?

Athletic officials from the New Jersey University, Rutgers, announced the early termination of their infamous Men’s Basketball Coach, Mike Rice.  The decision was based on a videotape depicting Rice hurling balls and gay slurs at his players.  As ESPN broadcast the incriminating footage, Rice’s behavior can be summarized in one word…foul.

Everyone from LeBron James to Governor Chris Christie weighed in on the coach’s shameful behavior. The inevitable decision to fire Rice 3 years into his 5 year contract sealed the fate on his career.  Rice will be forced into an unexpected early retirement.  Given the state of our economy, many South Florida residents have also had to face the prospect of an early unexpected retirement.

So what happens when you find yourself without the steady income of a job and bills to pay?  Though it is best to avoid taking money out of your retirement plan, emergency situations such as job termination, divorce, sickness, and economic crashes can get the best of us.  You may be pleasantly surprised to find out that there are some instances when you can take money out of your retirement plans without paying the 10% federal penalty imposed by the IRS.

Here is a list of Uncle Sam’s most common exceptions:

• Borrow from your own 401(k). You can legally borrow up to $50,000, or half your vested balance, whichever is less, from your 401(k).  Most big firms allow these loans and give you up to 5 years to repay it without any taxes or penalties.  However, if your job terminates for any reason, your ex-employer will likely demand repayment, otherwise the outstanding balance will be treated as an early distribution, subject to penalties.
• Paying Large Medical Bills.    You can request a distribution from an IRA or 401(k) without any penalties for CERTAIN medical expenses.  Note that only expenses that are more than 10% of your adjusted gross income will qualify.
• Paying for Health Insurance.  If you become unemployed, you can take money out of an IRA account (not a 401K) to obtain health insurance for yourself, spouse, and dependents, without paying a penalty.  To qualify, you must be collecting unemployment for at least 12 weeks and this exemption ceases 60 days after starting a new job.
• Disability. If you become disabled before age 59½, you may be able to take penalty-free distributions from an IRA. However, you must carefully understand what qualifies as a permanent physical disability that prevents you from being gainfully employed, as per Uncle Sam’s legal and medical guidelines.
• Inheriting an IRA.  If you are the beneficiary of a deceased owner of an IRA, you can take money from an “inherited IRA” without penalty at any age. Note that if you roll the inherited IRA into your own name, you lose the ability to take out money without paying the penalty. Note that unlike an IRA, a 401k will automatically transfer to a surviving spouse no matter who the designated beneficiary is.
• Paying for Education. You can take money out of a pre-tax IRA account to pay for undergraduate or graduate tuition, books, supplies, and fees for yourself, your children, or grandchildren.  Be careful however, because IRA withdrawals will count as income and MAY limit eligibility for financial aid for the following year.
• First Home Purchase.  You can take up to $10,000 penalty-free from an IRA (not a 401K) to pay for the purchase or building of your first home.  If both you and your spouse will be first time homeowners, the amount doubles to $20,000.

But with all of these tips, the devil is in the details.  It is always best to seek the advice of a well-seasoned Florida attorney before making any major financial decisions.  With the help of our experienced South Florida estate planning attorneys, we can make the complex United States tax-code work for you, no against you!

For more information on successful Florida early retirement tips and asset protection techniques, please contact the South Florida law firm of Wild Felice & Partners, P.A. at (954) 944-2855 to schedule your free consultation.

It’s a Wild world. Are you protected? SM